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Chuks Udo Okonta
At a time insurance firms with huge gross premium income are blocking holes to maintain a slim management expenses, some troubled firms seem to be overshooting their gross premium written.
Data obtained from the Nigerian Insurers Association (NIA) 2019 Digest, which chronicled the financial positions of all insurance firm, revealed that International Energy Insurance (IEI) Plc, in 2019 under non-life business, posted a gross premium written of N533.08 million, while its management expenses was N682.40 million.
According to the NIA, Leadway Assurance Limited which is the market leader, under the non-life business, posted N35.05 billion and only had N5.20 as management expenses. Custodian & Allied Insurance Limited, posted N25.65 billion and had N3.16 billion as management expenses; Axa Mansard Insurance posted N20.08 billion, incurred N3.42 billion and NEM Insurance, posted N19.76 billion, incurred N3.51 billion.
Others are; Sovereign Trust Insurance, N10.87 billion, incurred N1.87 billion; Royal Exchange General Insurance Company, N10.58 billion, had N1.06 billion; Coronation Insurance, N10.71 billion, had N3.48 billion; NSIA Insurance, N6.52 billion, had N1.14 billion and Unitrust Insurance, N3.53 billion, had N444 million.
Management expenses, include, underwriting expenses, salaries, rents and others excluding commission to agents.